Utah Title 59 — Revenue And Taxation :: 59-1-304 — Definition -- Limitations On Maintaining A Class Action That Relates To A Tax Or Fee -- Requirements For A Person To Be Included As A Member Of A Class In A Class Action -- Rulemaking Authority -- Commission Report To Revenue And Taxation Interim Committee -- Limitations On Recovery By Members Of A Class -- Severability.

59-1-304. Definition -- Limitations on maintaining a class action that relates to a tax or fee -- Requirements for a person to be included as a member of a class in a class action -- Rulemaking authority -- Commission report to Revenue and Taxation Interim Committee -- Limitations on recovery by members of a class -- Severability.
(1) As used in this section, "tax or fee" means a tax or fee administered by the commission.
(2) A class action that relates to a tax or fee may not be maintained in any court if a claim sought by a representative party seeking to maintain the class action arises as a result of:
(a) a person collecting a tax or fee from the representative party if the representative party is not required by law to pay the tax or fee; or
(b) any of the following that requires a change in the manner in which a tax or fee is required to be collected or paid:
(i) an administrative rule made by the commission;
(ii) a private letter ruling issued by the commission; or
(iii) a decision issued by:
(A) the commission; or
(B) a court of competent jurisdiction.
(3) (a) A person may be included as a member of a class in a class action relating to a tax or fee only if the person:
(i) exhausts all administrative remedies with the commission; and
(ii) requests in writing to be included as a member of the class.
(b) (i) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission shall make rules to simplify and expedite the administrative remedies a person shall exhaust as required by Subsection (3)(a).
(ii) The rules required by Subsection (3)(b)(i) may include rules providing for:
(A) expedited filing procedures and forms;
(B) consolidation of hearings procedures as may be reasonably needed to accommodate potential inclusion of similarly situated persons; and
(C) the designation of test or sample cases to avoid multiple hearings.
(iii) The commission shall report to the Revenue and Taxation Interim Committee on the status of the rules required by this Subsection (3)(b) on or before the October 2004 interim meeting.
(4) Subject to Subsection (5), in a class action brought under this section against the state or its political subdivisions in which members of the class are awarded a refund or credit of a tax or fee by a court of competent jurisdiction, the total amount that may be recovered by members of the class may not exceed the difference between:
(a) the sum of:
(i) the amount of the refund or credit awarded to members of the class; and
(ii) interest as provided in Section 59-1-402; and
(b) if awarded in accordance with Subsection (5), the sum of:
(i) reasonable costs; and
(ii) reasonable attorney fees.
(5) (a) For purposes of Subsection (4), at the discretion of the court, the court may award:
(i) reasonable costs as determined by the court; and
(ii) reasonable attorney fees determined under Subsection (5)(b).

(b) Reasonable attorney fees awarded in a class action may not exceed a reasonable hourly rate for work actually performed:
(i) as determined by the court; and
(ii) taking into account all facts and circumstances that the court considers reasonable.
(6) If any provision of this section, or the application of any provision of this section to any person or circumstance is held unconstitutional or invalid by a court of competent jurisdiction, the remainder of the section shall be given effect without the invalid provision or application.

Amended by Chapter 382, 2008 General Session